Massive GM: advertising makes games better, when done right

Ads in video games is a controversial subject, but JJ Richards, the GM of …

Whenever there is a story written about ads in video games, gamers come out in droves to condemn the practice. They won't buy games with ads in them, they say. It's a terrible practice, we hear. Ars Technica caught up with the JJ Richards, GM of Massive, Microsoft's in-game advertising firm. His message: ads in games can enhance the experience, not hurt it. We can feel your skepticism from here, but hear him out.

Richards addresses the fact that gamers are so vocally opposed to advertising in games. "If you ask Americans if they like paying taxes, you'll likely receive a resounding 'no.' But if you ask Americans if they like living in the US, where they have to pay taxes, the answer will likely be a resounding 'yes.'" he explained. "It's about the overall value proposition and whether the mix is right between what you get and what you pay."

In fact, according to Massive's research, gamers like ads. Here's the caveat: they have to add to the gaming experience. He describes a game that takes place in Times Square. With no ads, it's not real at all. With generic ads, it's a little better.

"Now imagine Times Square with ads you just saw on television or read in a newspaper—the latest movie release or television show or a new car model," he said. "Imagine further that it is up-to-the-minute, whether you played your game today or six months from now. That is much more realistic." His argument is that gamers consume the experience of ads, not just the ads themselves. "The ads add to and enhance that experience, and our research shows that it is highly effective for both game play as well as advertisers."

Ads in games must be heavily managed

Richards told Ars that every ad goes through extensive testing with gamers to make sure the placement is palatable. "The ads need to enhance the entertainment value in the overall game experience, never detract from gameplay, and add realism to the game—meaning, ads in games are integrated in locations where the gamer would expect to see ads in real life."

The advertisers come to Massive with a game in mind for their ads, and the two companies work together to make sure the ads work with the target audience of the game and the goals of the ad campaign. "We have turned down campaigns in the past for several reasons, among them a brand being a poor fit for a game title," he said.

This level of management allows the company to launch a huge onslaught of ads across multiple properties, as well. If you want to get something in front of a large number of eyes, Massive can do that.

"This was the case with ABC's new series FlashForward, which turned to Microsoft and Massive to execute a three-screen campaign that encompassed Internet, mobile and gaming components," Richards described. "The gaming aspect included the first act of the FlashForward pilot available on Xbox Live and flash advertisements promoting the series in 12 Xbox games, including Guitar Hero 5, Madden 10 and Tiger Woods PGA Tour 10." If you're a gamer who has a 360 that's online, it would be quite the trick to avoid seeing at least one of these ads.

Don't expect this trend to fade away

"Video games are an active, engaged, 'lean-forward' entertainment experience," Richards said about the art form. "Games in Massive's network contain four to five minutes of advertising or less per hour. Contrast that with an hour of television where consumers are likely to be exposed to at least 12 minutes of interruptive advertising."

He also points out that gaming is an engaging activity, people who game focus much more of their mind on the singular activity of gaming than multitasking. That makes gaming a juicy target for advertisers.

The market has spoken loud and clear: the ads will be there, the price of games will most likely not come down because of them, and the most we can hope for is the ads are used in realistic ways that don't yank gamers from the experience. As Sony learned with its recent PR flap over extended loading times in order to show a video ad in WipeOut, advertising can be a tricky tightrope walk for everyone involved.

Do gamers enjoy ads? It's hard to separate what gamers do and don't like while in the midst of gaming and what they say on forums and in the comments of stories like this, but what's clear is there is very little to be done about their use.